Headlines from the Caspian: December 9, 2024
Author: Caspian Policy Center
12/09/2024
Energy and Economy
Kazakhstan’s Oil Transported Through BTC up 47.7%
In a statement released by Kazakhstan’s KazTransOil, the company claimed that between January and November of 2024, it had shipped 1.342 million tons of oil through Aktau Caspian Sea port toward the Baku-Tbilisi- Ceyhan (BTC) pipeline. This represents a 47.7% increase from the reported volume transported during the same 11-month period in 2023, 910,000 tons. Kazakhstan has historically primarily shipped oil and gas through Russian infrastructure toward Europe but has pivoted toward greater use of the BTC since Russia’s invasion of Ukraine.
Source: Interfax
Azerbaijani Energy Company Acquires Gas Pipelines in Western Georgia
On December 7, the Georgian government approved the direct sale of gas pipelines in western Georgia to Azerbaijan’s state-owned energy company SOCAR for 19.8 million Georgian laris (approximately $7 million). Based on the order signed by Georgia’s Prime Minister Irakli Kobahidze, 41 gas pipelines in villages of Imereti, Guria and Samegrelo-Zemo Svaneti regions will be privatized by SOCAR who will pay approximately 2 million Georgian laris (approximately $712,000) per year for ten years to the Georgian state. Currently, SOCAR is the main supplier of both natural gas, oil and oil products to Georgia. SOCAR also owns an oil terminal in the Georgian Black Sea port of Kulevi, through which Azerbaijani oil and oil products are transshipped to the European markets.
Source: Sputnik Georgia
Armenian Parliament Ratifies OPEC Loan
On December 6 the Armenian Parliament ratified a November agreement to receive a 50 million euro loan from the OPEC Fund for International Development (OPEC Fund). According to Interfax, “The loan is provided for 18 years with a five-year grace period and carries an interest rate of six-month Euribor +1.56%.” and will go toward covering the national spending deficit as well as social spending.
Source: Interfax
Azerbaijan and Saudi Arabia Discuss Trade, Investment, and Green Energy Cooperation
On December 9, Minister of Economy of Azerbaijan Mikayil Jabbarov conducted an official visit to Saudi Arabia. In Riyadh, Jabbarov held meetings with Minister of Energy Prince Abdulaziz bin Salman bin Abdulaziz and Khalid bin Abdulaziz Al-Falih, Saudi Arabia’s Minister of Investment. The discussions focused on cooperation between Saudi Arabia and Azerbaijan in renewable energy as well as means of enhancing their partnership in various energy fields, including energy transformations and technologies.
Source: Azernews, Saudi Press Agency
COP29 Gave a Platform for Caspian Countries to Show their Commitment to Energy Transition
At CPC’s Energy Security and Post-COP29 Conference in London, CPC CEO Efgan Nifti spoke on the role of COP29 in providing a platform for the Caspian countries to demonstrate their commitment to energy transition, renewable energy, and tackling global challenges. Nifti also highlighted the growing importance of energy security and environment as top priorities in the region: “The challenge of energy security is one of the issues that require common action. The Caspian region has played an important role in providing traditional energy resources, and looking into the future, it is poised to contribute to global energy security with sustainable, secure, and affordable clean energy.”
Source: Trend News Agency
UK Wants to See Further Green Energy Cooperation with the Caspian Region
While delivering her keynote remarks at CPC’s Energy Security and Post-COP29 Conference in London, Sophie Westlake, Deputy Director for the UK government's International Energy Unit, which spans across the Foreign, Commonwealth and Development Office (FCDO) and the Department for Energy Security and Net Zero (DESNZ), highlighted the need for further cooperation between the UK and the Caspian region: “We have seen the important role of the Caspian region in energy security and gas, but we want to see further cooperation on green energy in the future… There are about 845 gigawatts of energy potential in the Caspian Sea, that is massive potential there for the export of green power to Europe - that is the growing area of interest.”
Source: Trend News Agency
Uzbekistan Proposes Creating an International Center for Climate Damage Assessment
While delivering his remarks at CPC’s Energy Security and Post-COP29 Conference in London, Ambassador of Uzbekistan to the UK Ravshan Usmanov spoke on the efforts undertaken by his country in green energy transition: “Uzbekistan proposes the establishment of an international center for climate laws and damage assessment.” He further added that Uzbekistan plans to “increase the share of green energy to 40 percent and global production of critical minerals must be increased 6-fold by 2040.”
Source: Trend News Agency
Politics and Security
Georgia Protests Continue with Arrests and Resignations
Mass demonstrations have continued across Georgia following the November 28 announcement by Prime Minister Irakli Kobakhidze that Georgia would not engage in the European Union accession process until 2028. Beginning on December 4, Georgian authorities have targeted opposition members, arresting several on charges of organizing violence. Former Member of Parliament Aleko Elisashvili of the Strong Georgia political block was sentenced to two months of pre-trial detention while Nika Gvaramia, a former government minister of education and science and current leader of the Coalition for Change block, has been sentenced to 12 days after a violent arrest by security forces. Meanwhile, Irakli Shaishmelashvili, head of Operational Planning Division of the Special Task Force and member of the Ministry of Internal Affairs and Giorgi Gvimradze, director of the news and current affairs department of the Georgian Public Broadcaster, resigned their positions.
Source: Civil.ge, BBC, Georgian News
Azerbaijan and Israel Discuss Bilateral Ties
As a part of his official visit to Israel on December 8-9, Assistant to the President of Azerbaijan and Head of the Foreign Policy Affairs Department of the Presidential Administration Hikmet Hajiyev held meetings with Israeli Foreign Minister Gideon Sa'ar and Israeli President Isaac Herzog. The parties discussed bilateral cooperation between Azerbaijan and Israel, strengthening the strategic partnership between the two countries, as well as the regional developments.
So-Called Parliament of Abkhazia Rejects Russian Investment
At a December 3 meeting of the de facto parliament of the break-away Abkhazia region of Georgia, 19 of the 23 members participating voted down the ratification of an agreement that would have “opened up” Abkhazia to Russian economic investment. The original agreement was signed in Moscow in October by an Abkhaz leader and Russian Economic Minister Maxim Reshetnikov. The agreement sparked anger in Abkhazia, leading to protests that forced the resignation of the so-called president of the territory. Those who oppose the agreement argue that allowing Russian investment would allow Moscow to deepen its domination of the region and demographically threaten ethnic Abkhaz. In response, Russia banned the importation of Abkhaz tangerines.
Armenian Defense Minister Meets with Lloyd Austin
On December 5, United States Secretary of Defense Lloyd Austin hosted Armenian Defense Minister Suren Papikyan for meetings at the Pentagon. The pair discussed U.S.-Armenia security cooperation, including the Eagle Partner joint-exercises, which were first launched in 2023. The visit is the first by an Armenian defense official of Papikyan’s status.
Source: U.S. Department of Defense
